Hindustan Unilever Limited (HUL) reported an Underlying Sales Growth (USG) of 2% for the quarter ended September 30, 2025. The growth was primarily price-led, driven by carry forward pricing in Skin Cleansing, Beverages and Skin Care. EBITDA margin stood at 23.2%. The company anticipates improved trading conditions post-October, with a gradual market recovery and is investing behind their business to unlock sustained growth.
Financial Performance Overview
Hindustan Unilever Limited announced a 2% Underlying Sales Growth (USG) for the quarter. Turnover stood at Rs. 16,061 crores. EBITDA margin was recorded at 23.2%. Profit after tax grew by 4%, driven by a one-off positive impact from the resolution of prior years’ tax matters. For the first half of FY26, USG grew by 3% and PAT grew 5%.
Segment Performance
Home Care
The Home Care segment delivered a competitive performance with mid-single digit volume growth, translating to flat USG due to price reductions taken in prior quarters. Fabric Wash delivered mid-single digit UVG while Fabric Conditioners grew at double digits.
Beauty & Wellbeing
Beauty & Wellbeing reported 5% USG, driven by Skin Care and Health & Wellbeing. Hair Care witnessed a decline impacted by GST rate rationalization. Skin Care including Colour Cosmetics grew in high-single digits. Health & Wellbeing maintained a strong triple digit growth trajectory.
Foods
The Foods segment achieved a USG of 3%. The Beverages portfolio delivered double-digit growth. Lifestyle Nutrition sustained a positive UVG, though overall turnover declined due to negative pricing. Packaged Foods delivered muted performance while the Ice Cream business declined.
Strategic Priorities and Outlook
HUL is focused on four key priorities: sharpening consumer segmentation, elevating brand desirability, future-proofing capabilities, and reshaping the portfolio. The company expects the second half of the financial year to show better growth than the first half, anticipating normal trading conditions from early November. The Ice Cream demerger is expected to improve reported margins by 50-60 bps.
Leadership Transition
Ritesh Tiwari is transitioning from his role as CFO to a new position at Unilever. Niranjan Gupta has been welcomed back to the organization as the new CFO Designate.
Source: BSE
